Good morning. My name is François Roy and I'm the coordinator of Logemen'occupe, an active member of the FRAPRU, a community activist group that advocates for social housing.
Our umbrella association seeks to promote and defend the right to housing for all. It is comprised of 130 member groups that represent almost all regions across Quebec. Of these groups, 27 are fully aligned with the position and actions of FRAPRU.
The 2006 Canadian census took place during a time of economic growth for Quebec and for the rest of Canada that began in the 1990s. Between 2000 and 2005, the gross domestic product of Quebec increased by 22.7%; labour force participation rates for Quebec rose from 63.1% to 65.6%; the number of households receiving social assistance fell to 43,200.
All of these statistics should have led to a marked drop in the number of renters that paid too high a portion of their income to rent. Yet, the number reached 448,840 in 2006, whereas it was 445,200 five years earlier.
Renters today are poorer than they were 25 years ago. In 1981, the income of renters was $14,746. Had it risen in proportion to the cost of living calculated on increases in the Consumer Price Index, that income should have been $35,287 in 2006. Yet, figures from the most recent census indicate that that income was $29,416; in other words 16.6% less. Yet, average rents in Quebec were $223 per month in 1981. Based on increases to the cost of living, average rents should have been $534 in 2006. Instead, it was $566, 6% more than in 1981.
It is abundantly clear that to resolve this problem, the federal government must increase its investments in new social and community housing units. By setting aside slightly more than $2 billion for social housing, there's recognition in the budget that the government can do something to face this economic crisis.
However, according to FRAPRU, these investments will not meet the needs. Even if the figure of $2 billion seems rather large, the provinces will only be receiving $475 million over two years to build new social housing for older people, and disabled people. For Quebec, this translates into funding for approximately 850 dwellings, under the Quebec program AccèsLogis, in order to meet all of the existing needs. No money was made available to other households in need.
The budget does not set aside any additional money for programs that the government decided to extend for five years, as announced last fall, mainly the Affordable Housing Initiative, the Residential Rehabilitation Assistance Program, and the Homelessness Partnering Strategy. Funding for these programs was not indexed to the cost of living in the past several years, and is insufficient relative to the scope and scale of the needs. As regards the Affordable Housing Initiative, the announced investment of $125 million per year is even less than the initial budget set in 2001, of $680 million over five years, or $136 million per year.
By investing so little in housing the government is not taking steps to protect its most vulnerable citizens from the consequences of the economic crisis. For example, the 1991-1992 recession led to a 48% increase in the number of households which were most in need of housing help, according to the Canada Mortgage and Housing Corporation's own figures. Indeed, investments are clearly insufficient to make up for the shortage of rental units, a situation that is now affecting 26 of the 34 metropolitan regions canvassed during the last national census.
Thank you.